TLDR
- Paul Tudor Jones’ hedge fund Tudor Investment Corporation sold all 175,212 Palantir shares in Q2 2025
- Jones purchased 905,700 shares of quantum computing company Rigetti Computing during the same quarter
- Palantir trades at high price-to-sales and price-to-earnings multiples compared to software stocks
- Rigetti generates minimal revenue and burns cash but has potential catalysts with Ankaa-3 and Cepheus-1 systems
- Tudor Investment has both call and put options on Rigetti, which shows a hedged position
Paul Tudor Jones Tudor Investment Corporation exited its entire stake in Palantir Technologies in Q2 2025. The firm sold 175,212 shares of the AI software company’s stock.
At the same time, Jones began a position at Rigetti Computing. Tudor Investment bought 905,700 shares of the quantum computer startup.
Jones built his reputation after predicting the Black Monday crash of 1987. His firm now oversees billions in assets in stocks, alternative investments and venture capital.
Palantir’s Valuation Problem
Palantir transformed from a government contractor to a profitable AI platform provider. The company’s artificial intelligence platform powers operations in defense, healthcare, logistics and financial services.
The stock gained strong momentum in the past year. But Palantir now trades at price-to-sales and price-to-earnings ratios that exceed typical software-as-a-service company valuations.
The company’s price-to-sales multiple is well above its industry peers. Jones likely saw this as a reason to take profits and rotate capital elsewhere.
For a macro-focused investor like Jones, his strategy of exiting premium positions fits. He focuses on identifying market turning points rather than following momentum trades.
Quantum Computing Bet
Throwing away computers represents a speculative play in quantum computing. The company uses qubits instead of traditional binary bits for computational operations.
Some analysts estimate that the quantum AI market could reach $10 trillion in the long term. This forecast attracts investors looking for new technological opportunities.
Throwing away currently generating little revenue and continuing to lose money. The company has shown no clear path to commercial scale.
Jones may see Rigetti as a high-risk trade ahead of potential catalysts. The company is developing its Ankaa-3 and Cepheus-1 quantum systems.
Progress updates of these systems could drive interest in the stock. Rigetti competes with companies such as IonQ, D-Wave Quantum and Quantinuum.
Tudor Investment holds both call and put options on Rigetti shares. This hedged position shows that the trade is not a simple directional bet.
The option strategy is consistent with Jones’ risk-adjusted investment strategy. It allows participation in potential upside while limiting exposure to the downside.
Rigetti’s market capitalization is $16 billion on October 16, 2025. The stock trades at $47.92 per share.